Polaris Enters Joint Venture With Eicher Motors Limited

Minneapolis - Polaris
Industries today announced a joint venture with Eicher Motors Limited, a
leading manufacturer of commercial vehicles and motorcycles in India. The
joint venture will develop and market new products to meet the diverse vehicle
needs in India
and other emerging markets. The agreement creates a new operation, wherein
Polaris and Eicher each control 50 percent. The overall investment is expected
to be approximately $50 million, shared equally between the partners over a
three-year period.

"This agreement instantly expands and enhances Polaris'
presence in India and supplying access to additional emerging markets around
the globe and leverages Polaris' strength in product innovation and vehicle
development," Scott Wine, Polaris CEO, said. "Eicher's financial strength and
rich history as a leader in the Indian market makes them the perfect partner for
Polaris in India.
This joint venture represents an incredible opportunity to develop new vehicles
and realize global growth."

Eicher is a well-established, powerful brand in India. The
company today is comprised of Royal Enfield, an iconic motorcycle brand, and VE
Commercial Vehicles Limited (VECV), a 50/50 venture with Volvo. VECV,
established in 2008, manufactures and markets medium-to-heavy-duty trucks and
buses, engineering components and provides engineering design solutions.
Between its two business divisions, Eicher has a dealer network with more than
400 locations in India.

"At Eicher Motors Limited, we are committed to long term
growth and value creation for our stakeholders through both organic and
inorganic expansion," Siddhartha Lal, managing director and CEO, Eicher Motors
Limited, said. "This joint venture strongly supports our strategic direction.
Currently, we are active in the commercial vehicle and motorcycle categories.
Collaborating with Polaris allows us to enter new profitable vehicle segments."

The joint venture will benefit from the complementary and
shared strengths each partner provides, utilizing these collective talents to
co-develop new products for emerging markets. Polaris' unmatched innovation in
engineering and design, paired with Eicher's powertrain expertise, economical
engineering and knowledge of local markets create a powerful combination. The
companies' shared dedication to manufacturing excellence and responsible
management further strengthens this partnership.

While strategies are still under discussion, Eicher and
Polaris plan to cooperatively build a new manufacturing facility to support
this joint venture, with production projected to start in 2015.